- Bitcoin price shows no signs of bullish momentum with the start of the new week’s Asian trading session.
- The ongoing consolidation will turn into a selling spree should BTC lose its critical support level at $26,555.
- A decisive flip of the $30,000 psychological level on a higher timeframe would invalidate the bearish thesis.
Bitcoin price has been struggling to overcome a crucial hurdle for the past two weeks, leading to a tight consolidation. With the end of 2023’s first quarter, BTC has returned a whopping 72% return to investors. However, at the start of quarter two’s new week, the Asian session traders seem to be booking profits. Will this bearish start snowball into a weekly sell-off?
Read More: Bitcoin Weekly Forecast: Breaking down key BTC levels to accumulate for Q2, 2023
Bitcoin price ready to take on a new quarter
Bitcoin price largely overcame the tight correlation with the macroeconomic outlook in March, yielding 32% returns for the month. These newfound “inflation hedge” and “uncorrelated asset” narratives were the main drivers of this rally as a few traditional banks started collapsing.
Regardless, Bitcoin price seems to be stuck in a rut with no directional bias. For the last two weeks or so, BTC has been trading between $28,881 and $26,555 with a deviation above the range high on March 30.
Although Bitcoin may retest the range low this week, a breakdown below this level is yet to be confirmed. If BTC produces a decisive four-hour candlestick close below the aforementioned support structure, it would more than likely trigger a sell-off.
The 50% and 62% retracement levels at $24,201 and $23,078 are two major areas where buyers are likely going to step up. So these levels are good for sidelined buyers who are waiting to accumulate.
BTC/USDT 4-hour chart
On the other hand, if Bitcoin price bounces off the range low at $26,555, it will denote a lack of commitment from sellers. Should BTC produce a decisive flip of the $30,000 psychological level, it would invalidate the bearish thesis and attract sidelined buyers to accumulate BTC at market prices.
Such a move would serve as a tailwind for bulls and could prompt a rally that retests the $32,661 level.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.